Lactalis Canada: Zero Cost Resiliency and Sustainability

Lactalis Canada: Zero Cost Resiliency and Sustainability

Commercial Project, Energy Storage

Summary

Lactalis Canada Inc., a subsidiary of the world’s #1 dairy group, Lactalis Group, was looking for a solution to reduce their Global Adjustment energy costs and implement short-duration backup energy. Like many industrial sites, the rising costs of energy paired with momentary power fluctuations were impacting production levels, schedules and the bottom line.

Peak Power being a leader in innovative funding models, came to the table with solutions to tackle these issues. The result is a shared savings model – facilitating private financing and SREPS funding – to develop battery assets at five of their manufacturing facilities in Ontario without any capital expenditures from Lactalis Canada.

After a year-long evaluation process, including reviewing many other suppliers, Lactalis Canada selected Peak Power and SWITCH Power as their preferred energy storage providers.

Customer

Lactalis Canada

Location

Ontario, Canada

Activation

2021

Capacity Size

2 MW / 4.5 MWh

Solving for Power Interruptions

Lactalis Canada required a solution that would position their facilities for success in the future and support their ESG commitments related to energy. Mainly, they sought to mitigate the risks of rising energy prices through demand response, energy arbitrage, and peak shaving to reduce Global Adjustment costs.

As an essential food manufacturing company, Lactalis Canada also wanted a resiliency solution that could help solve the challenge of intermittent power outages. Even a very short outage of a few seconds could have an impact on production and product quality, potentially costing thousands of dollars.

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Results: Building Capacity

Different production sites had different goals, and our software and remote operations centre were built for just this. At Peak Power, we’re experts in optimizing, controlling, and operating energy storage assets based on each facility’s individualized needs.

As such, we designed and optimized each energy storage system based on the stated economic and/or environmental benefit through demand response, peak shaving, and energy arbitrage strategies. In collaboration with Lactalis Canada’s Corporate Engineering team, plant engineers, and maintenance managers, along with Peak Power and SWITCH Power, systems were designed to provide ride-through capabilities for up to two hours to guard against short power disruptions and outages.

As of Q4 2022, Peak Power and SWITCH Power have completed the commissioning at three of Lactalis Canada’s facilities with a combined capacity size of 2 MW / 4.5 MWh. With the completion of the final two facilities in 2023, an estimated combined capacity of 7 MW / 17.5 MWh will be provided to help Lactalis Canada cut energy costs and support the larger needs of the Ontario grid.

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Projected Electrical Savings

$1 Million

Annually

Developed in partnership with

"This was a truly collaborative partnership between Lactalis Canada, our project plants, and Peak Power and SWITCH Power with respect to site coordination, planning and installation. We look forward to seeing the positive impact from the savings we generate from the battery systems at our Canadian plants.”

Rich Daniels
Strategic Purchasing Manager, CAPEX, North America
Lactalis Canada-Lactalis American Group

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Contact us about your project needs, or if you have a question about your current energy storage asset optimization.